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TH E M R EP O RT | 9 Copyright © 2017 Mortgage Cadence, LLC. All rights reserved. To be the very best means partnering with a leading mortgage technology solutions provider. With true comprehensive mortgage technology, you'll have the most reliable software and dedicated people constantly by your side, powering your future every step of the way. when I started in the mortgage business, I think at that time there was much less of a commitment to diversity than we see today. Companies in our industry are starting to understand that they need to have a diverse and inclusive workforce to best serve the diverse communities that their customers represent. As leaders, it's important for us to foster a diverse pipeline of talent to ensure we are attracting the best and brightest into our business. That's one of the reasons I am so proud to work at Fannie Mae, where diversity and inclusion have long been a fundamental part of who we are as a company. M // Is there a project you've worked on in the past that you are most proud of? DAVIS // The accomplishment that I'm most proud of in my career is the opportunity to be a part of Fannie Mae's ongoing transformation to become America's most valued housing partner. We have fundamentally changed the way we do business in ways that make Fannie Mae and housing finance safer and stronger. Over the past several years I've had the privilege of leading one particular aspect of this transformation, the creation of a new business model where Fannie Mae is able to share our credit risk with other market participants. Fannie Mae's central role in the U.S. mortgage market is to provide liquidity to enable lenders to make loans to homeowners in all markets and all economic cycles. We do this through our $2.8 trillion guaranteed MBS program. In the past, this meant that we kept all of the credit risk associated with our guarantee. After the housing crisis, we knew that we needed to develop a more flexible business model where we could share some of this risk with investors. However, this market literally didn't exist, which meant that in order to fulfill our goal, we had to create an entirely new market from scratch. When we rolled out our Connecticut Avenue Securities (CAS) program in 2013, we faced the challenge of building an en- tirely new market sector. This meant devel- oping a program that would achieve Fannie Mae's objectives, satisfy myriad regulatory requirements, and most importantly, appeal to a broad and deep investor base. We're now in our fourth year of the CAS program and it's been a resounding success. We've issued over $27 billion in securities to investors around the globe. Across all our credit risk transfer programs, we've shared risk on approximately $1.2 trillion in loans. We see strong liquidity and active daily markets in the CAS program, and I was thrilled this year when we won a number of notable awards. This program truly has become the benchmark for U.S. mortgage credit.

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